U.S. Cutting Tool Institute (USCTI)
Shipments of cutting tools, measured by the Cutting Tool Market Report, a collaboration between AMT – The Association For Manufacturing Technology and the U.S. Cutting Tool Institute (USCTI), totaled $210.6 million in August 2025. Orders decreased 2.7% from July 2025 and 1.8% from August 2024. Year-to-date shipments totaled $1.66 billion, down 2.7% from the same period in 2024.
“Key markets continue to struggle to gain traction as we approach the final quarter of 2025,” says Steve Boyer, president of USCTI. “While shipments of cutting tools have fallen short of their 2024 levels in all but one month this year, July 2025 shipment numbers were significantly better than the previous year, and aerospace has been a segment of strength. Some optimism exists with the de-escalation of war in the Middle East and hope for sustainable peace. However, the weight of uncertainty with tariffs continues to hinder confidence and investment in the short term.”
“Uncertainty about the unfolding tariff situation and industry-specific challenges in some of the largest cutting tool customer segments appear to be the major hurdles affecting sales,” says Bret Tayne, president of Everede Tool Company. “As tariffs and other measures become more stable, and with an assist from declining interest rates, the cutting tool customer base may see some growth again as we finish out the year and head into 2026.”
The Cutting Tool Market Report is jointly compiled by AMT and USCTI, two trade associations representing the development, production, and distribution of cutting tool technology and products. It provides a monthly statement on U.S. manufacturers’ consumption of the primary consumable in the manufacturing process, the cutting tool. Analysis of cutting tool consumption is a leading indicator of both upturns and downturns in U.S. manufacturing activity, as it is a true measure of actual production levels.
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